2. The table below provides shipping rates for packages using next day (1-day) air or 5-day ground service options. The rates vary according to the weight of the package. Suppose you have a package weighing 13 pounds that needs to be shipped. The value of the material is $15,000 and the annual inventory holding rate is 35 percent of the product value. Weight Next Day Air (Cost per Pound) 5-Day Ground (Cost per Pound) 1-5 lbs. $3.25 $0.65 6-10 lbs. $4.75 $0.85 11-15 lbs. $6.25 $1.25 16-20 lbs. $7.75 $1.85 a. What is your total cost if you use the ground carrier? The air carrier? Which transportation mode (air or ground) minimizes the total shipping and transit inventory cost? b. Describe the cost-to-service and cost-to-cost trade-offs that are involved in the transportation service selection decision. What trade-offs would be involved in choosing one shipping option over the other?